Despite the range of distribution channels, corporates lack the key one they need most to make savings, according to a new report by Cranfield University Air Transport Group.
The missing channel is a “single, simple to use and trustworthy source where corporates can find all the flight information they need with the best value fares listed for each option,” The Future of Distribution report said.
Authors Prof Fariba Alamdari and Dr Keith Mason researched the efficiency in terms of time and costs of all main distribution channels for the study commissioned by ACTE. It was formally unveiled at the Association's Forum in Stockholm this week.
The six different channels assessed were: airline websites, airline call centres, airline portals, self booking tools, TMCs and ITMCs.
Excluding time, the airline website was cheapest ($12) and the TMC ($45), the most expensive. But when time was included, at a cost of $50 an hour, airline call centres cost nearly $100 while booking with a TMC, ITMC or self-booking tool was around $40.
Other findings included:
* airlines want direct bookings which by-pass the GDSs but are willing to pay GDSs reasonable fees for content display.
* corporates want complete access to travel content and for costs to be taken out rather than passed onto them
* the future of GDSs is based on their value to their customers. De-regulation is likely to lead to content fragmentation so they need to reduce dependence on revenue from airlines and diversify.
* TMCs are generally believed by corporates to be the most effective way of managing travel. TMCs are also concerned over full access to content but because of IT investment are well positioned to provide this.
* the industry is likely to see consolidation not only among airlines and TMCs but also GDSs with IT providers.